POSCO Wage Talks Collapse; Union to Launch Indefinite Strike on Nov. 2

POSCO's labor union will launch an indefinite strike starting Nov. 2 after wage talks collapsed. The union demands a 7.1% base pay increase, while management offered 2.5%. POSCO Holdings is expected to report Q3 revenue of 18.6394 trillion won and operating profit of 812.7 billion won, up 8% and 27% YoY, respectively, according to FnGuide. A strike could disrupt production, but management plans to adjust schedules and maintain operations.

POSCO Steeleon, a POSCO Group subsidiary, received quality approval on October 21 to supply stainless steel anti-fingerprint color steel sheets to General Electric (GE) for use in premium refrigerators. This marks the first time a South Korean color steel producer has entered GE's supply chain, following a two-year collaborative process.

POSCO Holdings received federal environmental approval for the first phase of its KRW 4 trillion low-carbon iron project in Port Hedland, Western Australia. The plant, planned for 2031 production, will process 3-3.5 million tons of iron ore annually. POSCO aims to finalize consultations, permits, and investment decisions with partners, including Roy Hill mine co-investors.

Australia approved a $3B POSCO-led low-carbon HBI project in the Pilbara, targeting 2031 production. The plant will initially use gas, with plans to transition to hydrogen. The project aims to reduce emissions and diversify Australia's iron exports. POSCO holds a 51% stake, with Marubeni and China Steel Corporation each owning 24.5%.

POSCO obtained a special license from OFAC to pay for Russian coal purchased before the Ukraine war, despite sanctions. The coal was shipped before sanctions tightened, and an arbitral tribunal ordered POSCO to pay. This is the first such license issued to a Korean company.

Australia approved Stage 1 of the Port Hedland Iron Project, a 3B USD venture backed by POSCO, Marubeni, and China Steel. Construction must start by 2031, with operations using 3-3.5M tonnes of ore annually and producing 2M tonnes of HBI. The project aims for decarbonization via hydrogen storage.